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Why do Firms Downsize?


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1 School of Business, California Baptist University, 8432 Magnolia Ave, Riverside, CA 92504
     

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This conceptual research paper examines the theoretical underpinnings of employee downsizing as a management strategy. It investigates the issue of why firms downsize in the first place. In addressing this question, some systematic thoughts are offered on the causes of downsizing. The author develops and proposes a conceptual framework for studying organizational innovation drawing upon two dimensions, social action and social context, associated with the downsizing phenomenon

Keywords

Downsizing, Underpinnings, Causes, Innovation
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  • Why do Firms Downsize?

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Authors

Franco Gandolfi
School of Business, California Baptist University, 8432 Magnolia Ave, Riverside, CA 92504

Abstract


This conceptual research paper examines the theoretical underpinnings of employee downsizing as a management strategy. It investigates the issue of why firms downsize in the first place. In addressing this question, some systematic thoughts are offered on the causes of downsizing. The author develops and proposes a conceptual framework for studying organizational innovation drawing upon two dimensions, social action and social context, associated with the downsizing phenomenon

Keywords


Downsizing, Underpinnings, Causes, Innovation

References